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Registered number: 05532608









SIMPLY EDUCATION LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

 
SIMPLY EDUCATION LIMITED
 
 
COMPANY INFORMATION


Directors
F Garrard 
J Scott 




Registered number
05532608



Registered office
56 Clarendon Road
Watford

England

WD17 1DA




Independent auditors
Barnes Roffe Audit Limited
Chartered Accountants & Statutory Auditors

3 Brook Business Centre

Cowley Mill Road

Uxbridge

Middlesex

UB8 2FX





 
SIMPLY EDUCATION LIMITED
 

CONTENTS



Page
Strategic report
1 - 2
Directors' report
3 - 4
Independent auditors' report
5 - 9
Statement of comprehensive income
10
Statement of financial position
11
Statement of changes in equity
12
Notes to the financial statements
13 - 24


 
SIMPLY EDUCATION LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

Introduction
 
The directors present their report and financial statements for the year ended 31 December 2024.

Business review
 
Market conditions in 2024 were difficult, particularly in the second half of the year, and turnover fell from £17.8m in 2023 to £14.6m in 2024. 

Whilst gross profit margin percentage was maintained this led to a reduction in Gross Profit. As a result Operating Profit fell from £1.2m to Operating loss of £1.2m.  Cost reduction measures were implemented but the financial benefits were too late to be seen in the year.

The business continues to support all staff with a learning and development focus to ensure we continue to develop and progress our current staff along with attracting the best future talent. A strong KPI suite helps guide performance.

Principal risks and uncertainties
 
The principal risk to the company is the growth of master vendors building momentum within Multi Academy Trusts (MATS).  However, the company has achieved Preferred Supplier status with MATS through the Crown Commercial Services. The ongoing focus by schools on their budgets continues to be a risk.

Price risk

The company is exposed to commodity price risk as a result of its operations. However, given the size of the company's operations, the cost of managing exposure to commodity price risk exceed any potential benefits. The directors will revisit the appropriateness of this policy should the group's operations change in size of nature. 
Credit risk

Credit risk is the risk that a counterparty will default on its contractual obligations resulting in financial loss to the company. The trade receivables, the company perform ongoing credit valuations of its customers and the company maintains an allowance or doubtful accounts which, when realised, have been within the range of management's expectations. For other financial assets, the company adopts the policy of dealing only with high credit quality counterparts.

Credit exposure to an individual counterparty is restricted by credit limited that are approved based on ongoing credit evaluation. The counterparty's payment profile and credit exposure are continuously monitored by management.

Liquidity risk

The liquidity risk is usually assessed by comparing liquid asserts and short term liabilities. The company manages the liquidity risk by using cash flow forecasts which enables the group to monitor its working capital and make remedial action when necessary.

Financial and non financial key performance indicators
 
- Increase in average staff numbers to 56 (2023 - 46).
- Gross profit percentage achieved of 31.1% 
(2023 - 31.3%).
- Turnover decrease by 18% to £14,565,507 
(2023 - £17,844,367).

Page 1

 
SIMPLY EDUCATION LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024


This report was approved by the board on 31 October 2025 and signed on its behalf.



F Garrard
Director

Page 2

 
SIMPLY EDUCATION LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

The directors present their report and the financial statements for the year ended 31 December 2024.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic report, the Directors' report and the financial statements in accordance with applicable law and regulations.
 
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Going concern

At the year end the company had current net assets of £1,889,715 (2023 - £1,970,521). The directors have prepared forecasts and note that the company is trading adequately and has sufficient working capital and other finance available to settle liabilities as they fall due for a period of at least 12 months from the date of approval of these financial statements. 

As such, the directors believe that there are no significant uncertainties in their assessment of whether the business is a going concern and have prepared the accounts on a going concern basis.

Results and dividends

The loss for the year, after taxation, amounted to £1,236,622 (2023 - profit £1,155,601).

Dividends of £Nil (2023 - £Nil) were declared in the year.







 

Page 3

 
SIMPLY EDUCATION LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

Directors

The directors who served during the year were:

J Henderson (resigned 30 January 2024)
H Murtagh (resigned 15 August 2025)
I Langley (appointed 30 January 2024, resigned 1 July 2024)
F Garrard 
J Scott (appointed 1 July 2024)

Future developments

The company continues to grow its operations and look for new markets.
 

Matters covered in the Strategic report

The company has chosen in accordance with section 414C of Companies Act 2006 to set out the following information, which would otherwise be required within the Directors' report, within the Strategic report; financial risk management.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There are no subsequent events that require disclosure or adjustments to the financial statements.
 
Auditors

After the year end Barnes Roffe LLP resigned as auditors due to the transfer of its audit business and its successor Barnes Roffe Audit Limited was appointed by the directors under s485 Companies Act 2006.

This report was approved by the board on 31 October 2025 and signed on its behalf.
 





F Garrard
Director

Page 4

 
SIMPLY EDUCATION LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SIMPLY EDUCATION LIMITED
 

Opinion


We have audited the financial statements of Simply Education Limited (the 'Company') for the year ended 31 December 2024, which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of changes in equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the Company's affairs as at 31 December 2024 and of its loss for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.


Page 5

 
SIMPLY EDUCATION LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SIMPLY EDUCATION LIMITED (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Page 6

 
SIMPLY EDUCATION LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SIMPLY EDUCATION LIMITED (CONTINUED)


Responsibilities of directors
 

As explained more fully in the Directors' responsibilities statement set out on page 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with law and regulations, was as follows:
 
The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
We identified the laws and regulations applicable to the company through discussion with directors and other management, and from our commercial knowledge and experience of the relevant sector;
The specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, are as follows:

° Companies Act 2006.
° FRS102.
° Employment legislation.
° Tax legislation.
 
We assessed the extent of compliance with the laws and regulations identified above through making enquiries of; and
Laws and regulations were communicated within the audit team at the planning meeting, and during the audit as any further laws and regulation were identified. The audit team remained alert to instances of non-compliance throughout the audit.
Page 7

 
SIMPLY EDUCATION LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SIMPLY EDUCATION LIMITED (CONTINUED)


 

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur by:
 
Making enquiries of management as to where they consider there was susceptibility to fraud and their knowledge of actual, suspected and alleged fraud;
Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations;
Reviewing the financial statements and testing the disclosures against supporting documentation;
Performing analytical procedures to identify any unusual or unexpected trends or anomalies;
Inspecting and testing journal entries to identify unusual or unexpected transactions;
Assessing whether judgement and assumptions made in determining significant accounting estimates were indicative of management bias; and
Investigating the rationale behind significant transactions, or transactions that are unusual or outside the company’s usual course of business.
 
The areas that we identified as being susceptible to misstatement through fraud were:
 
Management bias in the estimates and judgements made;
Management override of controls; and
Posting of unusual journals or transactions.


Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.



A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.


Page 8

 
SIMPLY EDUCATION LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SIMPLY EDUCATION LIMITED (CONTINUED)


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Simon Carr (Senior statutory auditor)
for and on behalf of
Barnes Roffe Audit Limited
Chartered Accountants & Statutory Auditors
3 Brook Business Centre
Cowley Mill Road
Uxbridge
Middlesex
UB8 2FX

 
Date: 
4 November 2025
Page 9

 
SIMPLY EDUCATION LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024

2024
2023
Note
£
£

  

Turnover
 4 
14,565,507
17,844,367

Cost of sales
  
(10,033,551)
(12,261,199)

Gross profit
  
4,531,956
5,583,168

Administrative expenses
  
(4,461,946)
(4,343,102)

Exceptional items
 11 
(1,234,371)
(15,463)

Operating (loss)/profit
 5 
(1,164,361)
1,224,603

Interest payable and similar expenses
 9 
(72,261)
(69,002)

(Loss)/profit before tax
  
(1,236,622)
1,155,601

Tax on (loss)/profit
 10 
-
-

(Loss)/profit for the financial year
  
(1,236,622)
1,155,601

Total comprehensive income for the year
  
(1,236,622)
1,155,601

The notes on pages 13 to 24 form part of these financial statements.

Page 10

 
SIMPLY EDUCATION LIMITED
REGISTERED NUMBER: 05532608

STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024


2024

2023
Note
£
£
£
£

Fixed assets
  

Intangible assets
 12 
31,907
34,074

Tangible assets
 13 
26,086
14,495

  
57,993
48,569

Current assets
  

Debtors: amounts falling due within one year
 14 
4,514,061
4,784,349

Cash at bank and in hand
 15 
17,056
27,507

  
4,531,117
4,811,856

Creditors: amounts falling due within one year
 16 
(3,806,642)
(2,841,335)

Net current assets
  
 
 
724,475
 
 
1,970,521

Total assets less current liabilities
  
782,468
2,019,090

  

Net assets
  
782,468
2,019,090


Capital and reserves
  

Called up share capital 
 17 
135
135

Profit and loss account
 18 
782,333
2,018,955

  
782,468
2,019,090




The financial statements were approved and authorised for issue by the board and were signed on its behalf on 31 October 2025.




F Garrard
Director


The notes on pages 13 to 24 form part of these financial statements.

Page 11

 
SIMPLY EDUCATION LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 January 2023
135
863,354
863,489


Comprehensive income for the year

Profit for the year
-
1,155,601
1,155,601
Total comprehensive income for the year
-
1,155,601
1,155,601



At 1 January 2024
135
2,018,955
2,019,090


Comprehensive income for the year

Loss for the year
-
(1,236,622)
(1,236,622)
Total comprehensive income for the year
-
(1,236,622)
(1,236,622)


At 31 December 2024
135
782,333
782,468


Page 12

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

1.


General information

Simply Education Limited is a company limited by shares, incorporated in England and Wales. The address of its registered office is 56 Clarendon Road, Watford, WD17 1DA.

The principal activity of the company during the year was that of a temporary employment agency.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

  
2.2

Financial reporting standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

• the requirements of Section 4 Statement of Financial Position paragraph 4.12(a)(iv);  
• the requirements of Section 7 Statement of Cash Flows;  
• the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);  
• the requirements of Section 33 Related Party Disclosures paragraph 33.7.

 
2.3

Going concern

At the year end the company had current net assets of £724,475 (2023 - £1,970,521). The directors have prepared forecasts and note that the company is trading adequately and has sufficient working capital and other finance available to settle liabilities as they fall due for a period of at least 12 months from the date of approval of these financial statements. 

As such, the directors believe that there are no significant uncertainties in their assessment of whether the business is a going concern and have prepared the accounts on a going concern basis.

Page 13

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the year in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the contract;
the stage of completion of the contract at the reporting date can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to the Statement of comprehensive income on a straight-line basis over the lease term.

 
2.6

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.

If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

 
2.7

Finance costs

Finance costs are charged to the Statement of comprehensive income over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Page 14

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.8

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in the Statement of comprehensive income when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of financial position. The assets of the plan are held separately from the Company in independently administered funds.

 
2.9

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the Company but are presented separately due to their size or incidence.

 
2.10

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 
2.11

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Fixtures and fittings
-
4 years
Computer equipment
-
3 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of comprehensive income.

Page 15

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.12

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.13

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.14

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.
 


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

The preparation of financial statements in accordance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the company's accounting policies.

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

a) Critical judgements in applying accounting policies

There are no judgements (apart from those involving estimates) that have had a significant effect on the    amounts recognised in the financial statements.

b) Key accounting estimates and assumptions

The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have the most significant potential impact upon the carrying values of assets and liabilities:
 
Useful economic lives of intangible fixed assets

The useful economic lives used by the company in respect of intangible fixed assets are set out in the accounting policies. These estimates are the best estimate based on past experience and expected performance and are regularly reviewed to ensure they remain appropriate.

Page 16

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

4.


Turnover

The whole of the turnover is attributable to the principal activity of the company.

All turnover arose within the United Kingdom.


5.


Operating (loss)/profit

The operating (loss)/profit is stated after charging:

2024
2023
£
£

Depreciation
17,316
9,578

Amortisation of intangible assets
28,167
28,167

Other operating lease rentals
157,309
157,809


6.


Auditors' remuneration

2024
2023
£
£

Fees payable to the company's auditor for the audit of the Company's annual financial statements
7,350
7,585


7.


Employees

2024
2023
£
£

Wages and salaries
2,267,169
2,231,369

Social security costs
275,221
273,853

Cost of defined contribution scheme
52,655
90,651

2,595,045
2,595,873


The average monthly number of employees, including the directors, during the year was as follows:


        2024
        2023
            No.
            No.







Admin
5
3



Sales and support
51
43

56
46

Page 17

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

8.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
135,666
184,962

Company contributions to defined contribution pension schemes
5,938
5,280

141,604
190,242


During the year retirement benefits were accruing to 1 director (2023 - 1) in respect of defined contribution pension schemes.


9.


Interest payable and similar expenses

2024
2023
£
£


Bank interest payable
72,261
69,002

72,261
69,002


10.


Taxation


2024
2023
£
£

Corporation Tax


Current tax on profits for the year
-
-


Total current tax
-
-


Taxation on profit on ordinary activities
-
-
Page 18

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
 
10.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is higher than (2023 - lower than) the standard rate of corporation tax in the UK of 25% (2023 - 23.5%). The differences are explained below:

2024
2023
£
£


(Loss)/profit on ordinary activities before tax
(1,236,622)
1,155,601


(Loss)/profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.5%)
(309,156)
271,566

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
293,679
-

Capital allowances for year in differing to depreciation
(9,398)
1,470

Other timing difference
847
(253)

Unrelieved tax losses carried forward
24,028
179

Group relief
-
(272,962)

Total tax charge for the year
-
-


Factors that may affect future tax charges

There are no significant factors affecting future tax charges.


11.


Exceptional items

2024
2023
£
£


Exceptional items
1,234,371
15,463

1,234,371
15,463

Included in exceptional items in the current year is an impairment of amounts owing by group companies of £1,165,240. The remainder partially relates to redundancy costs, legal fees and initial software costs which were not in use by the company.

The exceptional items in prior year partially related to redundancy costs and legal fees.

Page 19

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

12.


Intangible assets




Development expenditure

£



Cost


At 1 January 2024
281,672


Additions
26,000



At 31 December 2024

307,672



Amortisation


At 1 January 2024
247,598


Charge for the year
28,167



At 31 December 2024

275,765



Net book value



At 31 December 2024
31,907



At 31 December 2023
34,074



Page 20

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

13.


Tangible fixed assets





Computer equipment
Fixtures and fittings
Total

£
£
£



Cost


At 1 January 2024
31,482
1,878
33,360


Additions
28,907
-
28,907



At 31 December 2024

60,389
1,878
62,267



Depreciation


At 1 January 2024
18,464
401
18,865


Charge for the year
16,598
718
17,316



At 31 December 2024

35,062
1,119
36,181



Net book value



At 31 December 2024
25,327
759
26,086



At 31 December 2023
13,018
1,477
14,495


14.


Debtors

2024
2023
£
£


Trade debtors
1,655,278
1,450,019

Amounts owed by group undertakings
2,767,640
3,279,921

Other debtors
35,909
18,804

Prepayments and accrued income
55,234
35,605

4,514,061
4,784,349


Amounts due from related parties are unsecured, interest-free and repayable on demand.
                                                                                                                                                                                          The trade debtors balance is subject to an invoice discounting arrangement. These assets have not been derecognised from the Statement of financial position because the company remains ultimately responsible for any unpaid balances, so the directors consider significant risks to have been retained.

Page 21

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

15.


Cash and cash equivalents

2024
2023
£
£

Cash at bank and in hand
17,056
27,507

17,056
27,507



16.


Creditors: Amounts falling due within one year

2024
2023
£
£

Invoice discounting facility
1,173,983
666,820

Trade creditors
479,155
655,100

Amounts owed to group undertakings
860,361
210,036

Other taxation and social security
510,583
893,949

Other creditors
345,564
77,215

Accruals and deferred income
436,996
338,215

3,806,642
2,841,335


The company has an invoice discounting arrangement in place with HSBC Bank Plc. There is a fixed charge held over the debtor book in respect of this.


17.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



13,467 Ordinary shares of £0.01 each
135
135



18.


Reserves

Profit and loss account

Profit and loss account includes all current and prior year retained profits and losses.

Page 22

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

19.


Pension commitments

The company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £52,655 (2023 - £90,651). At the reporting date £8,542 (2023 - £5,111) was payable by the company to the pension scheme.


20.


Commitments under operating leases

At 31 December 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2024
2023
£
£

Land & Buildings


Not later than 1 year
56,167
81,214

Later than 1 year and not later than 5 years
68,000
95,208

Later than 5 years
3,750
-

127,917
176,422

2024
2023

£
£

Other


Not later than 1 year
91,143
-

Later than 1 year and not later than 5 years
139,531
-

230,674
-


21.


Related party transactions

The company has adopted the exemption permitted by Financial Reporting Standard 102, not to disclose any transactions with wholly owned members of the group.


22.


Post balance sheet events

There are no subsequent events that require disclosure or adjustments to the financial statements.

Page 23

 
SIMPLY EDUCATION LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

23.


Ultimate parent undertaking and controlling party

The immediate parent undertaking is Simply Education Holdings Ltd, a company incorporated in England and Wales. The registered office of Simply Education Holdings Ltd is 56 Clarendon Road, Watford, WD17 1DA. 

The ultimate parent undertaking is Auxo Group Holdings Limited, a company incorporated in England and Wales. The registered office of Auxo Group Holdings Limited is 56 Clarendon Road, Watford, WD17 1DA. This is the smallest and largest company in which the results of this company are consolidated.

The ultimate controlling party at the date of approval of these financial statements is Tosca Debt Capital LLP.

 
Page 24